Finance

Do you Know How to Automate your Accounts Payable?

Automating the accounts payable process is one of the solutions that more and more companies are demanding to improve their effectiveness, a process that can generate many problems, among which the lack of productivity stands out. Strict compliance with payment commitments is undoubtedly one of the aspects most valued by the suppliers of any company. That is why companies and administrations are forced to speed up the processing of invoices from their suppliers, since any invoice must be subject to review and approval in all organizations before being paid.

If the management of accounts payable is not automated, it is an obstacle that can interrupt the agility with which some activities are carried out in your organization. All this due to the large amounts of time that are lost when manually directing processes, documents, seeking authorizations, linking invoices with their purchase orders, generating notes in the systems and filing the documentation involved in the procedure.

On this website we know the benefits of automating accounts payable and that is why we have a complete service that will solve all the problems that a traditional treatment entails at the root. In all companies there are purchase orders, whether they are purchases associated with the business itself (purchases of raw materials, labor…) or purchases associated with the consumption of a service (electricity, water,…). Below we will explain what this process consists of and the advantages it can provide to your organization:

What is the Accounts Payable Automation Process Like?

Automating the accounts payable process guarantees the ability to carry out an agile and efficient payment management, optimizing all the phases required for this process. From the moment there is a purchase need, it is checked if it is required to have an assigned budget for the purchase, several proposals are requested from suppliers, the proposal is approved, the selected supplier is communicated and the purchase is received. Next, it is validated that the merchandise or service received is the one agreed, the entry is registered in the system, the invoice is received, the invoice data is extracted, and it is validated.

The objective is to ensure that the entire aforementioned process is carried out more effectively and efficiently, minimizing the necessary human intervention and delegating tasks to the system that are normally more prone to error. In the short / medium term, automating the accounts payable process saves both human and time costs, and allows you to be much more efficient and productive, reducing the margin of error to practically zero.

Manual management of the accounts payable process prevents the prompt availability of relevant information on invoices and payments, and also delays their delivery to suppliers, affecting the relationship with them. A poor relationship with suppliers generates a large number of inquiries related to the status of payments, a factor that once again slows down the workflows of any organization. Frequently, it represents a bottleneck in numerous administration departments, which can be avoided via automation. In the same way, late payments exclude companies from discounts for prompt payment, which represents an additional expense, which if we extrapolate it to a flow in which many invoices are handled, represents a high cost for the income statement of your business.

Accounts Payable can be Automated for a Number of Reasons

Accounting software offers many benefits for your company if you automate the processes. Organizations can gain the following benefits from modernizing their vendor engagements:

  • Most effective cash flow planning process
  • Payments are no longer duplicated
  • Streamlining of closing processes
  • Administrative and operational cost reduction
  • Process up to 65% faster
  • Faster payments to suppliers, thus benefiting from the discounts for prompt payment that they offer
  • You no longer have to worry about lost or incorrect invoices
  • Without the need for purchase orders, you can manage your invoices

In addition, as an added value for the proper functioning of your accounting department, traditional obstacles in this type of procedure are eliminated, such as delays, lack of visibility and control over the process or the difficulty of recovering data effectively when required.

What are the Major Benefits of Automating Accounts Payable?

All these benefits, and many others that derive from the correct execution of this process, are possible thanks to the following functionalities that are integrated into the automation system that getyooz wants to offer you:

  • Rules in invoice processing
  • Budget control
  • Controlled exception management system
  • Process history
  • Invoice approval system
  • Audit trail

What Tools should I have to Automate the Accounts Payable Process?

It is important to talk about the tools that make possible the optimization of the process that we are commenting on. Technologies that work intelligently by integrating with your ERP to make the automation of this management work correctly.

Application of BPM (Business Process Management)

  • Creation of Workflows (workflows)
  • Intelligent management of related documents (delivery notes, orders …)
  • Automatic data export
  • Certified digitization of invoices
  • Conservation of invoices approved by the AEAT
  • Automatic data extraction by OCR for identification of information in documents

Smart OCR Application

  • Automatic data extraction by OCR for identification of information in documents
  • No need to use templates
  • Self-learning
  • Elimination of false positives
  • Minimize the occurrence of errors

Now that you know all the advantages that this process can provide to your company, the interesting thing is that you can see in a specific way how it works in your business. You can request a free demo with no obligation so that you can see first-hand all its advantages. Get in touch with us and let one of our expert consultants help you be much more efficient and gain flexibility in your accounts payable process.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button